In Denmark, the nationwide enterprise authority has formally registered Novonesis, marking the finished merger between enzyme and cultures suppliers Novozymes and Chr Hansen. The mixed group can have an estimated annual income of €3.7bn.
Coming collectively to kind a ‘international biosolutions accomplice’, Novonesis combines each firms’ strengths and goals to innovate and develop ‘transformative’ biosolutions that enhance how populations produce, eat and dwell, commented Novonesis CEO and president Ester Baiget.
“And we have now gathered the brightest minds and along with my 10,000 colleagues, we are going to unlock the limitless potential of biosolutions.”
Novonesis will probably be headed up by former Novozymes CEO Baiget, main a workforce dominated by different ex-Novozymes workers (simply one-third of the brand new govt workforce joins from Chr Hansen).
Former Chr Hansen CEO Mauricio Graber has stepped down with the creation of Novonesis.
How will the Novonesis enterprise capabilities be organised?
By becoming a member of forces, the brand new firm mechanically expands its portfolio and attain. Novonesis will now serve greater than 30 industries with its 10,000-strong workforce. Infrastructure spans round 40 R&D and utility centres and greater than 20 manufacturing websites.
Why the title ‘Novonesis’?
The title ‘Novonesis’ comes from a mash-up between ‘novo’, which means new, and ‘genesis’ – Greek for ‘origin’ or ‘starting’. Since Novozymes additionally used the ‘novo’ reference, as does Novo Holdings (an investor in each Chr Hansen and Novozymes), the brand new firm claims the phrase is ‘globally related to robust capabilities’ and a ‘Nordic heritage’. “These are all property and values which might be shared by the long run mixed firm.”
Half of the portfolio is now devoted to biosolutions for human well being (together with prebiotics, probiotics and enzymes) and for meals and beverage functions. ‘Human Well being’ incorporates Novozymes’ Human Well being and Chr Hansen’s Human Well being divisions, whereas ‘Meals & Drinks’ incorporates Novozymes’ Meals & Beverage and Chr Hansens’ Meals Cultures & Enzymes companies.
The latter spans substances that stretch shelf-life in classes resembling dairy and bakery; serve the toddler vitamin business; and declare to enhance style, texture, and vitamin in plant-based meals.
The opposite half of the portfolio is devoted to biosolutions for planetary well being, together with bioenergy and carbon seize applied sciences, in addition to plant and animal well being.
“All Novonesis options match into three industrial enterprise areas which might be instantly accountable for gross sales, advertising and marketing, utilized analysis and customer-driven innovation,” Lina Danstrup, head of exterior communications at Novonesis, informed FoodNavigator.
“Additionally they lead enterprise selections and set priorities for cross-functional collaboration. This displays our buyer and innovation-driven method.”
Novonesis income synergies and sustainability ambitions
From a monetary perspective, there may be robust collaboration potential: the corporate is anticipating annual income synergies of an estimated €200m, with an EBIT affect regarded as achievable inside 4 years of completion. Value synergies of an estimated €80-90m is regarded as realised inside three years of completion.
“Novonesis will current a 2024 monetary outlook no later than March 31. This contains extra element affect and advantages inside the F&B portfolio,” Danstrup revealed.
Past 2025, Novonesis plans to ‘proceed to ship accelerated sustainable progress’ from its present enterprise, coupled with new innovation and progress alternatives.
As to the brand new firm’s sustainability ambitions, Novonesis is aiming for carbon neutrality by 2050. By 2030, the corporate is aiming for a 75% discount in absolute CO2 emissions from its personal operations (scope 1 and a pair of) and a 35% discount in absolute CO2 emissions from its provide chain (scope 3).
The merger follows, and was conditional on, the divestment of Novonesis’ lactase enzyme enterprise to Kerry Group, which has now been authorized.
